A binding letter of intent has been signed with the vendor to acquire 100% of the Las Cuevas concessions in the province of San Luis.
Las Cuevas has historical links to lithium mining in San Luis and contains high-grade lithium-bearing pegmatites.
Managing director Chris Gale said, “A further acquisition of a known lithium mine is continuing to build the company’s strategy of controlling all known hard rock lithium pegmatites in Argentina.
"We now control the largest lithium hard rock concession base in Argentina”.
The mine has been operating sporadically via quarrying and underground methods since 1952 when it first went into production.
It has been one of Argentina’s largest producers of spodumene, beryl and tantalite while feldspar and quartz have also been recently produced.
In addition to Las Cuevas concession, there are four other concessions included in the agreement, which are also highly prospective for lithium and tantalum.
The concessions are within the Conlara pegmatite field, which is the central of three pegmatite fields in San Luis that are all part of the Pampean pegmatite province.
Prolific pegmatite field
This is the same pegmatite field that hosts Latin’s Maria del Huerto mine and the significant historical lithium mines of Cabeza de Novilla, La Meta, La Boca and La Puntillosa.
Las Cuevas concession contains several exposed pegmatites.
The main one, which has been the focus of historical activity, has an exposed strike length of more than 400 metres, an apparent thickness of up to 70 metres in the central zone and a gentle dip to the west of 30 degrees.
Attractive drilling target
This makes it an attractive target for drilling and potentially low strip quarrying.
There are possible strike extensions to this pegmatite to the north and south that will require drilling to delineate.
The western portion of the main pegmatite is exposed along its strike length by quarrying.
Gale said: “Latin Resources is very focused on moving forward to developing a JORC resource and then moving into production to take advantage of the buoyant and high lithium prices.”
Mapping and sampling planned
Latin plans further detailed geological mapping and sampling to confirm current thinking and to delineate possible extensions to the Las Cuevas deposit and the surrounding licences.
This will be done once the legal and permitting requirements including the environmental impact reports and reactivation of Las Cuevas mining concession are approved.
The company has secured more than 266,000 hectares of exploration concessions in the lithium pegmatite districts of Catamarca, San Luis and Salta provinces, Argentina.